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OPEN DAYS 2007-European Week of Regions and Cities 8-11 October 2007, Brussels Andrius Bagdonas, director of Sunrise Valley (Vilnius) Vilnius technology.

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Presentation on theme: "OPEN DAYS 2007-European Week of Regions and Cities 8-11 October 2007, Brussels Andrius Bagdonas, director of Sunrise Valley (Vilnius) Vilnius technology."— Presentation transcript:

1 OPEN DAYS 2007-European Week of Regions and Cities 8-11 October 2007, Brussels Andrius Bagdonas, director of Sunrise Valley (Vilnius) Vilnius technology Valley development – Cloning a Silicon Valley in Lithuanian Way?

2 Some facts and figures - Economic and Market Development Lithuania is a small and catching up economy with a GDP per capita of 52.1 % of EU average The current level of labor productivity (per person employed) in Lithuania is low, accounting only for 53.2 % of EU 25 average. Lithuania is lagging behind the average of EU countries in terms of gross expenditure on R&D - in 2005 only 0.76% of GDP invested in R&D (EU average is 1,85%) - underestimate expenditure of private companies in R&D? Lithuania spends 6.2% of GDP on telecommunication, which is almost twice as much as average of EU 25. Share of internet based commerce out of all turnover, for Lithuania this is 5.5 and thus extremely high, only exceeded by Ireland and the UK (EU 25 average is 4%). The level of internet access has increased tremendously between 2004 (16%) and 2006 (43%), EUROSTAT) But Lithuania has the second but lowest share of GDP for IT (1.6% compared to 3.0 % as EU 25 average).

3 Some facts and figures – Science and Studies basis The public science base is highly fragmented. There are 15 state and 6 private universities, with 18 university institutes, 17 state research institutes, and 8 state research establishments The proportion of students as compared to the total population aged 20-24 in Lithuania is rather high (nearly 70%) and markedly surpasses the EU average (about 56%). But the higher education funding per student is only 3.100 (compared to EU average of 8.600 ) Problematic age structure of the scientists (53% of the scientists are older than 50 years) and the rather low number of PhD produced (150 PhD per one million inhabitants are produced per year, 300-400 would be needed) Annual growth rate of R&D personnel has been 4.5% in 2005 (compared to 1.3% at EU level) and the growth rate of researchers has been 6.5%. (EU 3.0). Lithuania has a good basis of science and technology graduates. Per 1000 population there are 17.5 graduates in S&T, the EU 25 average being just 12.6. Lack of clear regulation and incentive structures within the public sector that render IPR regulation in public science, especially universities, impossible or unattractive. IPR is also not regulated in standard contracts of university professors (limits to create a spin off from a university )

4 Integrated Science, Study and Business Centres conception The Government of the Republic of Lithuania, in its Conception of Creation and Development of Integrated Science, Study and Business Centres (Valleys), adopted in March 2007, defines that a valley is a potential of scientific research, studies and knowledge-intensive businesses, having common or related infrastructure and contributing purposefully to the creation of knowledge society and knowledge economy. Public support will focus on specific infrastructure as well as project support for new forms of sustainable strategic and operational science – industry co-operations. It is intended to combine resources of EU Structural Funds (a major parts of the SF budget earmarked for research and innovation), the state and municipal budgets and institutions themselves, with additional business funds once the valley are up and running. Most importantly in terms of budgets available for new initiative, the new plan to allocate Structural Fund budgets for 2007 to 2013 earmarks 2429.81 million Litas (roughly 700 million ) for Scientific Research and Technological Development (SR&TD). Approximately half of this budget will be spent for the science base and research activities in businesses, and the other half for business innovation related activities, including the take up of new environmental technologies

5 Benefit of creating the Vilnius Technology Valley interaction between studies and science; interaction between studies and business; interaction between business and science; and will create a favourable environment, stimulating new innovative hi-value added business development. Vision of Vilnius Technology Valley 2013 The Vilnius Valley is one of the largest and most effective centres of studies, science and modern business in Eastern Europe.

6 Key Facts about Vilnius Vilnius.Vilnius VilniusLithuania Area401 sq. km65300 sq. km Population553.3003.469.100 No of students (2006/2007) 72.031143.204 No of universities1122 No of science and technology parks 510 Employment in service sector 73%56% Vilnius attracted 60% of all foreign investment in Lithuania in 2006.

7 Knowledge economy clusters in Vilnius

8 U NIVERSITIES : Vilnius University (VU) Vilnius Gediminas Technical University (VGTU) S CIENCE INSTITUTES : Institute of Biochemistry Institute of Biotechnology Institute of Semiconductor Physics Institute of Chemistry Institute of Physics Institute of Mathematics and Informatics Institute of Theoretical Physics and Astronomy of VU B USINESS ASSOCIATIONS : ITT association Infobalt Association of Laser and Light Science and Technologies Lithuanian Association of Engineering Industry LINPRA Knowledge and Economy Forum Lithuanian Association of Biotechnologists Lithuanian Society of Young Researchers O RGANISATIONS OF ASSISTANCE TO BUSINESS : Public Institution Sunrise Valley Public Institution Visoriai Information Technology Park Public Institution Northern Town Technology park Vilnius Technology Valley initiators and participants

9 Shared values of Valley initiators Co-operation: Between studies of different subjects. Between different branches of science. Between science and studies. Between business and studies. Between business and science. Between separate business enterprises. Between participants of the Valley and partners from Lithuania and abroad. Between the Association of the Valley and national authorities. Innovativeness: In the study process. In the scientific research process. In the business process. In the measures in support to innovation. Effectiveness: Of public investment. Of research and business activities. Of measures in assistance to innovation.

10 Main intentions To create a unit competitive in international space. The Vilnius Valley is a formation, focusing not only to Lithuania, but also oriented outwards, large enough by its number of qualified people and amount of concentrated scientific potential to attract attention on international scale. To create a general framework for state investments into infrastructure, its optimisation, efficient and effective investment, avoiding overlapping and other negative consequences of uncoordinated investment. To create more favourable conditions for the creation of high-level fundamental knowledge and preparation of specialists of high qualification. To create a favourable environment for knowledge transfer to the business.

11 The main areas of development of the Valley Applied physical sciences and technologies (optical information technologies, photonics, optoelectronics, nano-optics and micro- optics, indirect optics, processing of laser materials, nuclear energy and technologies of environment protection, etc.); Life sciences (except medicine) and biotechnologies (research of molecular and cellular biology, biochemistry, genomics and proteomics, construction of micro organisms and biocatalysts, modification of biopolymers, bio fuel production technologies, etc.); Information and communication technologies.

12 Vision 2013 - Science and studies Studies institutions located in Valley: Faculty of Natural Sciences (formed on the basis of former Faculties of Natural Sciences, of Physics and of Chemistry) and the Faculty of Mathematics and Informatics of the Vilnius University (VU). The Faculty of Mechanics and the Faculty of Electronics of the Vilnius Gediminas Technical University (VGTU). R&D institutions located in Valley : Centre of High Technologies (CHT) – is also located here, providing best scientific research conditions for the scientists of the present Faculties of Physics, Chemistry, Natural Sciences, Mathematics and Informatics of the Vilnius University, the Institute of the Materials Science and Applied Sciences, the sectors of the electronics, mechatronics, information and communications technologies, environmental and construction technologies of the Vilnius Gediminas Technical University, state Institutes of Semiconductor Physics, Physics, Chemistry The Lithuanian Centre of Life Sciences unites the forces of state institutes of Biotechnologies and Biochemistry. The Science Communications Centre, established in the Valley, along with the integrated library of VU and digital library of VGTU. The Scientific Calculations Centre of CHT

13 Vision 2013 – innovations and entrepreneurship support Business angels network VC fund for innovative SMEs Micro credits, guaranties Business incubators Technology demo and testing centers, living labs Internationalization programs Hi-tech clusters Technology scouting and audit IPR management R&D commercialization Multidisciplinary projects Seminars and case studies analysis Business plan competition Business simulation games Mentors network Business clinics Sunrise Entrepren eurship school Technology Transfer centre Access to finance Science and tech park, business incubator

14 Sunrise campus (main territory of Vilnius Technology Valley) The biggest science and studies concentration in Baltics; 62 ha reserved for integrated science, studies and business valley development (in total - 62 ha); 20 000 Vilnius university an Vilnius Gediminas technical university students, scientists, teachers in 2006 (30 000 – in 2013); 2,4 ha (two land plots of 1,8 ir 0,6 ha) reserved for business support infrastructure development >50 000 sq. m of science and technology park and business incubator premises >500 000 sq. m of studies and R&D facilities, HORECA

15 Advantages for Innovative Companies Networking – opportunity to be co- located with other companies in the same sector (critical mass, new business opportunities etc.) Research excellence – close proximity of research excellence, joint R&D projects Access to skills – access to students and a strong skills base. Internship & employment opportunities to help solve recruitment shortages High quality service provision – business and innovation support services provided by professional support providers Internationalization – opportunity to tap into European/ international networks that help firms identify new markets, business partners and routes to market

16 Main characteristics of Vilnius Valley Year 2007 Students40219* Scientific personnel3605** Scientists2514*** Companies in STPs~60 Office space for SMES (sq. m)~6 000 Studies and R&D facilities (including HORECA) >700 000 Industrial parks0 *28% of total Lithuanias students **31% of total Lithuanias scientific personel ***43% of total Lithuanias scientists

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